British Arms Maker Pays Up

Posted on Feb 6, 2010

British defense giant BAE has agreed to pay the UK and U.S. governments almost $800 million in penalties after it finally admitted guilt in the face of long-running corruption allegations. The deal allows the company to avoid being placed on an international arms trade blacklist. —JCL

The Guardian:

The arms giant BAE yesterday agreed to pay out almost £300m in penalties, as it finally admitted guilt over its worldwide conduct, in the face of long-running corruption investigations.

For 20 years, the firm refused to accept any wrongdoing, despite mounting evidence of alleged bribes and kickbacks, much of it uncovered by the Guardian.

But BAE yesterday said it would plead guilty to charges of false accounting and making misleading statements, in simultaneous settlement deals with the Serious Fraud Office in the UK and the department of justice in Washington.